Relaunch of a lithium mine in Val-d’Or

Relaunch of a lithium mine in Val-d’Or

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The Sayona Québec mining company announced on Tuesday the relaunch of its Authier lithium mine project in the Val-d'Or sector in order to supply the American electric vehicle market.  

The company, a subsidiary of Australia's Sayona, said in a statement that it has raised approximately US$80 million (approximately C$103 million) with its North Carolina partner Piedmont Lithium for improve quality and production in the mine.

The facilities are expected to return to service in the first half of 2023, thanks to the arrival of new equipment, which will reduce the cost of production to the mine.

“We are excited about this new step towards supplying much needed resources to the North American lithium market. Restarting the project is part of our plan to become a revenue-generating company during 2023,” said Piedmont Lithium President and CEO Keith Phillips.

Mr. Phillips does not hide, with the relaunch of the mine, that he hopes his company will become a key player in the lithium market.

Under the agreement between the two partners, Piedmont Lithium will be able to purchase at least 50% of the production of the Sayona Quebec mine, at the market price, with a floor of US$500 and a ceiling of US$900.

The Sayona mine must produce, at term, 113,000 metric tons per year of spodumene, a mineral composed in part of lithium.